Decision tool

Home Affordability Calculator

Estimate maximum home price from income, debts, down payment, and a target back-end DTI.

Your inputs

Adjust the fields and review the result in this workbench.

Cite this calculator

Results use the inputs you enter and standard formulas documented on this page. Not professional advice.

Last reviewed: August 2026

Home Affordability Calculator. (August 2026). Useful Tools Online. https://usefultoolsonline.com/home-affordability-calculator/

Interpretation

What this means

This backs into price from a DTI cap, then subtracts taxes and insurance from the housing budget before solving for principal.

Example

Worked example

A realistic example to show how this tool can support an actual decision.

At $8,000 income and 36% DTI with $500 other debt, you have about $2,380/mo for total housing before loan sizing.

Avoid mistakes

Common mistakes

A few things that can lead to misleading results or poor decisions.

Ignoring PMI when down payment is under 20%.
Using take-home pay instead of gross.